How to choose a SIPP provider

There is a lot to consider when choosing a SIPP provider. Many companies offer SIPPs (self-invested personal pensions) with different features, investment choices and charges. In this article we look at what to consider and how to find the best pension for you.

The value of investments can fall as well as rise and that you may not get back the amount you originally invested.

Nothing in these briefings is intended to constitute advice or a recommendation and you should not take any investment decision based on their content.

Any opinions expressed may change or have already changed.

Written by Lee Dooley

Published on 31 Jul 20172 minute read

The cheapest SIPP providers aren’t always the best

Fees can eat into your returns with a long-term investment like a pension, but the cheapest SIPP provider isn’t necessarily the best. Often you will compromise on other aspects of the service – such as those we mention below – in exchange for a lower fee. It is important to compare costs and features between providers when choosing a SIPP.

Free research and investment ideas

Would you like help and inspiration for your pension investments? Some companies offer investment ideas, market updates and lists of rated funds. Others leave you to research and pick your own investments.

Range of investments

There are thousands of funds available to buy in the UK, and every pension provider offers a different variety. Some SIPP providers will give you access to thousands of funds, ETFs and shares, others will have a restricted range in comparison.

Support and customer service

Do you know what level of customer support your pension provider will give you? Can you speak to real, UK-based staff over the phone or is the service restricted to emails?

Expert help with your investments

Not everyone has the time or inclination to manage your own pension investments. If you don’t, you should check to see if your provider offers Ready-made Portfolios or other services where an expert can either give you advice, manage your investments for you or create a financial plan to help you achieve your goals.

Freedom when taking money from your pension

You could be decades from retirement, but to avoid difficulties in the future you should consider whether your provider gives you access to the pension freedoms. Some let you buy an annuity, enter income drawdown or take lump sums. Others won’t offer you all these options at retirement.

The Best SIPP

The Best SIPP is Bestinvest’s award-winning personal pension. We were recently voted Best Direct SIPP Provider 2017 at the Your Money awards – a testament to the great features and value for money that our Best SIPP gives you.

You can find out more about the Best SIPP or get in touch if you have any questions – simply call us on 020 7189 9999 or email best@bestinvest.co.uk

Important information

SIPPs are not suitable for everyone. If you don’t want to invest across different asset classes or don’t think you will make use of the investment choices that SIPPs give you then a SIPP might not be right for you. Please contact us for guidance or advice if you are unsure whether a SIPP is right for you.